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2.1 CDM typology
CDM project activities can be divided into the following types depending on the size and kinds of
activity undertaken. Project participants who wish to develop a CDM project activity should first
determine in which of the following categories the project activity would fit, as different modalities
and procedures and formats apply to each project type.
Table 2-1 Classification of CDM project activities
Clean Development Mechanism (CDM)
1. Emission Reduction Type CDM
Large Scale CDM
CDM project activities which reduce GHG emissions from fossil fuel combustion, fossil fuel
consumption, mining, and fugitive emission in host countries.
Small Scale CDM (SSC)
CDM project activities which fall into three limits/types as follows:
Type I: Renewable energy project activities with a maximum output capacity of 15 MW (or an
appropriate equivalent)
Type II: Energy efficiency improvement project activities which reduce energy consumption,
on the supply and/or demand side, with a maximum output of 60 GWh per year (or an
appropriate equivalent)
Type III: Other project activities that result in emission reductions of less than or equal to 60 kt
CO 2 equivalent annually
[CMP/2006/10/Add.1, page 8, para. 28]
2. Sink or Removal Type CDM / Afforestation and Reforestation (A/R) CDM
Large Scale A/R CDM
CDM project activities to result in GHG removals by sinks through afforestation and reforestation
in host countries.
Small Scale A/R CDM (SSC A/R)
Those that are expected to result in net anthropogenic GHG removals by sinks of less than 16 kt
CO 2 per year and are developed or implemented by low-income communities and individuals as
determined by the host Party. [CMP/2007/9/Add.1, page 26]
2.2 Application of a baseline methodology
2.2.1 Overview of CDM project activities (large scale)
This type of CDM project activities result in emission reduction in host countries. The activities include
fossil fuel combustion, fossil fuel consumption, mining, and fugitive emission. Comparing with the
GHG emission reduction limits of small scale CDM project activities as mentioned in section 2.2.3,
other project activities are called “large scale” CDM project activities. Project participants wishing to
develop such a project activity should prepare a fully completed project design document (CDM-
PDD) and submit it for validation and registration. The detail procedure is discussed in Chapter 3.
The modalities and procedures, formats and relevant guidelines for CDM project activities are listed
in Appendix 1. Sectoral scope wise list of approved methodologies (AMs) and approved consolidated
methodologies (ACMs) with further discussion are provided in Appendix 2.
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